Stocks To Buy Before Budget: From BHEL To ONGC; Top Picks By Motilal Oswal

Ahead of Budget 2024, the technical & derivatives team of the brokerage and distribution company Motilal Oswal Financial Services Ltd. has recommended three stocks to buy based on technical analysis. The research team has selected three stocks for the week, ranging from ONGC to BHEL, that are worth buying before Budget 2024 and have the potential to benefit the shareholders.

Oracle Financial Services Software

BUY OFSS AT CMP: Rs 10556, STOP-LOSS: Rs 10200, TARGET: Rs 11500

OFSS is strong uptrend and trading at lifetime high territory with strong buying across IT stocks. Technically the stock gave a range breakout on a monthly scale and forming higher highs - higher lows on the weekly scale from the past few weeks. On a daily scale, the stock gave a fresh consolidation breakout after ten sessions and gave the highest daily close. Momentum RSI oscillator gave bullish crossover which suggests momentum to continue in coming sessions. Thus looking at the overall chart structure we are recommending to buy the stock with keeping stop loss below 10200 levels on a closing basis for a new high target towards 11500 zones.

ONGC

BUY ONGC AT CMP: Rs 307, STOP-LOSS: Rs 295, TARGET: Rs 335

ONGC gave Pole & Flag breakout on weekly scale after twenty weeks and formed a strong bullish candle. On daily scale as well it gave consolidation breakout above 250 zones and formed a strong bullish candle and gave highest daily close. It is taking support near its 50DEMA and momentum RSI oscillator gave bullish crossover which suggests momentum to continue in coming sessions. Thus looking at the overall chart structure we are recommending to buy the stock with keeping stop loss below 295 levels on closing basis for a new high target towards 335 zones.

BHEL

BUY BHEL AT CMP Rs 325, STOP-LOSS: Rs 312, TARGET: Rs 350

BHEL is consolidating at higher band in between 295 to 320 zones from past nine weeks and formed a strong bullish candle on weekly scale. It is on the verge of channel breakout above 315 zones and small follow up could start the next leg of rally. Stock is trading above its short term moving averages and good buying interest is visible across PSU stocks which will support the ongoing up move. Thus looking at the overall chart structure we are recommending to buy the stock with keeping stop loss below 312 levels on closing basis for a new life time high target towards 350 zones.

Market Outlook

Osho Krishan, Senior Analyst - Technical & Derivatives, Angel One said, "There have been no significant developments in the benchmark index, indicating a lack of substantial price movement. Specifically, the price structure has remained stagnant within a narrow range. The Nifty's trading range has notably shrunk to 80 points, making it more challenging for traders to navigate. However, despite this, the broader markets have continued to see active participation, which has contributed to maintaining a positive undertone for market participants. The support zone for Nifty is at 24500-24400, which is expected to see buyers stepping in when there are dips. However, it's not entirely clear if the trend will continue at higher levels. Nifty has surpassed the Golden retracement level of 24610, and the next key level to watch for is around 24700-24750."

"Currently, market participants are closely monitoring sectoral rotation and thematic movers, which are playing a pivotal role in driving market trends. It is advisable to continue observing and analyzing these movements until the key indices show a resurgence in momentum. Furthermore, it is essential to maintain a keen watch on global developments following the mid-week holiday, as these factors could significantly influence and establish the initial market sentiment," he further added.

Disclaimer

The recommendations made above are by market analysts and are not advised by either the author, nor Greynium Information Technologies. The author, nor the brokerage firm nor Greynium would be liable for any losses caused as a result of decisions based on this write-up. Goodreturns.in advises users to consult with certified experts before making any investment decision.